OST Docket Filings for July 29, 1997
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OST Docket Filings for July 29, 1997
Abaco Air | American | American and Aero California | American and British Airways/American and TACA (4) |
Crescent City | Falcon Air | IATA | Far Eastern Air Transport (2) | Northern Air Cargo (2) | Sunworld |
US-Brzail/Petition of Delta | US-Czech
Notices of Action Taken:
Notices and Orders:
American and Aero California / United and Mexicana / Delta and Aeromexico / United |
Cape Giradeau and Ft. Leonard Wood, MO | Fine | Lineas Aereas del Caribe
Abaco Air, Ltd. (Extension of Exemtpion)
Docket 46309 | July 1, 1997 (Received July 29, 1997)
ABACO AIR LIMITED hereby applies for an Extension of our Exemption under Section 416(b) which authority was granted September 6th, 1996 to September 6th, 1997. In making this application, ABACO AIR LTD. evokes the provision of U.S.C. Section 558 (c) as implemented by 14 CFR 377.10. We have enclosed completed OST 6411 Forms evidencing the continuance of the required insurance coverage. We have also enclosed a copy of our current Air Charter Permit issued by the Bahamas Department of Civil Aviation with effect February 8th, 1996 for a period of two years.
Certificate of Insurance | List of Authorized Aircraft and Permit Issued by the Bahamas
By: Denise Kelly, VP & Director of Operations, 809-367-2266
Air Exel Netherlands B.V. (Notice of Action Taken)
OST-97-2637 | Posted July 29, 1997
Exemption from 49 U.S.C. 41301 and statement of authorization under 14 CFR 212 to display the designator codes of Northwest Airlines, Inc., and KLM Royal Dutch Airlines on flights operated by Air Exel between Amsterdam and domestic Netherlands markets.
By: Paul Gretch / Counsel: Charles Donley, 202-626-6601
American Airlines, Inc. (San Antonio-Mexico City; Miami-Monterrey)
OST-97-2758 | July 25, 197
American Airlines, Inc. hereby states that it has polled the parties named on the service list attached to the captioned application, and that no one intends to object. Accordingly, we request expedited approval.
Counsel: American, Carl Nelson, 202-496-5647
American Airlines, Inc. (New – Notice of Action Taken)
OST-97-2758 | Posted July 29, 1997
Scheduled foreign air transportation between (1) the terminal point San Antonio and the terminal point Mexico City; and (2) the terminal point Miami and the terminal point Monterrey. American also requests authority to integrate these services with its US-Mexico certificate authority (Routes 560 and 628). Proposes to begin services on December 15, 1997.
The San Antonio-Mexico City market is authorized for service by two U.S. carriers. Currently, Continental Airlines and United Air Lines are designated for these services. Continental, however, is not currently serving the market and has not objected to American's application. Continental was served with American's application. Neither Continental nor any other carrier opposed American's request. Under these circumstances, we decided to request that the Department of State withdraw the designation of Continental Airlines for services between San Antonio and Mexico City and to designate American Airlines for services in that market. This notice has been sent to Continental.
By: Paul Gretch / Counsel: Carl Nelson, 202-496-5647
American Airlines, Inc. and Aero California S.A. de C.V. (Reciprocal Codesharing)
July 28, 1997
On July 24, 1997, acting at the request of the Mexican Dirrecion General de Aeronautica Civil, AA and Aero California amended their code-sharing agreement to address the participation in that agreement of AMR Eagle, Inc., a wholly owned affiliate of American. A copy of that amendment is attached. The amendment clarifies that AMR Eagle will not participate as a code-share carrier in cross-border services between the U.S. and Mexico, but does not otherwise modify the code-share agreement or the pending applications for statements of authorization or exemption.
Counsel: Steptoe Johnson, David Coburn, 202-429-8063 for Aero California / American, Carl Nelson, 202-496-5647
Order 97-7-31 | OST-97-2477 and OST-97-2481 | Undocketed | OST-96-1988 | OST-97-2161 and Undocketed | Undocketed | Issued July 29, 1997 | Served August 4, 1997
Order Granting (In Part) Exemption and
Statements of Authorization and Order to Show Cause
By this order we grant, in part, the captioned applications of American Airlines, Inc. (American), and Aero California S.A. de C.V. (Aero California), for exemption authority and statements of authorization to permit the carriers to engage in certain code-share services in various U.S.-Mexico markets. Additionally, this order proposes certain conditions to be imposed on all U. S.-Mexico code-share arrangements to permit, in certain instances, direct air carrier services to replace code-share services in a given city-pair market.
By: Charles Hunnicutt
OST-97-2058 | OST-97-2054, 2055, 2056, 2057 | OST-96-1700 | July 29, 1997
Answer of American Airlines
to Motion of Continental Airlines
American has no plans to include Iberia in American's code-sharing agreement with the TACA Group. Nor does American have any plans to include Aerolineas (or Austral) in the American/British Airways alliance, or in American's code-sharing agreement with the TACA Group. These are entirely separate matters, and should be considered by the Department in separate proceedings as they are submitted for approval. If Continental's tactic were to prevail, the Department would rarely conclude any proceedings involving cooperative arrangements between carriers, particularly where, as here, the initial applications have been subjected to protracted delays in processing.
Counsel: American, Carl Nelson, 202-496-5647
As Delta has already pointed out in the American-TACA proceeding, American's principle reason for entering into an alliance with the TACA Group is to further entrench its already dominant position in the U.S.-Central American marketplace. American and the TACA carriers are each other's principle competitors to and from the United States. The evidence in the American-TACA docket indicates that American's primary impetus in creating the alliance is to eliminate competition with its principal Central American competitors. American's plan to join forces with Aerolineas Argentinas, its largest competitor between the United States and Argentina, represents American's latest effort to strengthen its dominant position and solidify its stranglehold over U.S.Latin American markets.
Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060
Answer of the City of Houston
and the Greater Houston Partnership
Houston continues to object to American's emergence as the "chosen instrument" of U.S. aviation policy in Latin America. American is creating precisely the type of competitive stranglehold on this market that Pan American held until two decades of government pressure fmally introduced competition. Unless the Department acts quickly and decisively, the U.S. - Latin American market will retrogress to an anti-competitive, anti-consumer monopoly, just as it was prior to the mid-1960's. It now has come full circle. American is attempting to reinvent the chosen instrument policy rejected more than fifty years ago through a network of alliances, joint ventures, and equity investments which would have made Juan Trippe, Pan American's legendary founder, proud. Continental's motion sets forth the naked numbers with respect to American's dominance, but it goes beyond numbers. Houston's future as a major gateway to Latin America depends in large part on the Department's commitment to maintaining competition in these markets. A "chosen instrument" also means "chosen," and therefore highly limited, gateways. Houston's concern is obvious, but it should be of concern to every other major hub airport in the U.S. with the exception of Miami and Dallas/Ft. Worth.
Counsel: Leftwich Douglas, Frederick Douglas, 202-434-9100
American's announced plan to acquire an ownership stake in Aerolineas Argentinas, Iberia, and Austral and to enter into code-sharing alliances with these carriers is only the latest in a series of unprecedented alliance relationships American has announced over the past year with a number of its principal foreign-flag competitors in key international markets where American is already the dominant U.S. airline. In addition to its proposed alliance with the TACA Combine, American is seeking immunity from the antitrust laws to implement an alliance with British Airways, and Departmental approval for an alliance with Avianca, despite the fact that American is already one of only two U.S. carriers authorized to serve London's Heathrow Airport, and holds more authority in the entry-restricted U.S.-Colombia market than its only U.S.-flag competitor. American has already obtained approval to implement alliances with TAM for service to Brazil, where American holds more frequencies by a considerable margin than any of its U.S.-flag competitors, and with Aero California for service to Mexico.
Counsel: United and Ginsburg Feldman, Joel Burton, 202-637-9130
Cape Giradeau and Ft. Leonard Wood, Missouri (EAS)
Order 97-7-29 | OST-96-1559 | OST-96-1167 | Issued July 29, 1997 | Served August 4, 1997
Order Revising Service Levels and
Subsidy Levels
By this order, the Department is revising the service levels and subsidy rates for Trans States Airlines, Inc., d/b/a Trans World Express (Trans States), for its provision of essential air service (EAS) between Cape Girardeau and Fort Leonard Wood, Missouri, on the one hand, and St. Louis, Missouri, on the other, beginning October 1, 1997, or when the new service level is implemented, whichever is later, through the remainder of the carrier's present rate term, which ends on April 30, 1998.
Appendix A | Appendix B | Appendix C
By: Charles Hunnicutt
Crescent City, California (EAS)
OST-97-2649 | July 23, 1997
Re: Letter from County of Del
Norte
The Board of Supervisors has no objection to issuance of the order; however, request is hereby made that clarification be provided as to the actual rate to be charged for flights from Crescent City to Sacramento. As noted in my letter of July 16, 1997, Appendix B of the order indicates a fare of $68 for a trip from Crescent City to Sacramento. I also informed you that during the week of July 14, 1997, the quoted fare was $189 one-way to Sacramento, and we actually paid $419 for a round-trip ticket to Sacramento. Is there any way we can assure that we do not pay more than $68 for a one-way ticket and $136 for a round-trip ticket?
By: Kathleen Burgess, County Counsel
Digex Aero Cargo Ltda. (Notice of Action Taken)
OST-96-1723 | Posted July 29, 1997
Exemption to conduct charter all-cargo between a point or points in Brazil, on the one hand, and a point or points in the US
We found, based on the record, that DIGEX was substantially owned and effectively controlled by citizens of Brazil. Further, we found that the applicant was operationally and financially qualified, and properly licensed and designated by Brazil to conduct the proposed operations. We note that we received advice from the Federal Aviation Administration that it knew of no reason to act unfavorably on DIGEX's request here. The authority granted here is subject to the terms, limitations and conditions of the U.S.-Brazil Air Transport Agreement and to the standard conditions attached to this Notice. Finally, DIGEX may not conduct any charters between Brazil and the United States without prior Department approval, in the form of a statement of authorization, under 14 CFR Part 212.
By: Paul Gretch / Counsel: Robert Evers, 202-429-6630
Falcon Air Express, Inc. (Certificate of Public Convenience Amendment)
OST-95-676, 95-677 and 97-2592 | July 29, 1997
Pursuant to the Terms, Conditions and Limitations of the Certificate of Public Convenience and Necessity for Falcon Air Express, Inc. ("Falcon"), enclosed in Orders 96-2-34 and 96-3-8, and pursuant to 14 C.F.R. §204.5, Falcon hereby notifies the Department of the pendency of a DOT enforcement proceeding against Falcon. The current status of the proceeding is as follows: on Thursday, July 24, 1997, the undersigned was served with a letter from the Of flee of the General Counsel, notifying us of enforcement action and attaching a draft of a Consent Order. A response to the letter is requested by Friday, August 8, 1997.
Counsel: Pierre Murphy, Elizabeth Collins, 202-872-1679
Far Eastern Air Transport Corporation (Exemption, Taiwan-Guam)
OST-97-2769 | July 29, 1997
Far Eastern plans initially to conduct scheduled passenger and cargo air transportation between Taipei/Kaohsiung and Guam. Far Eastern plans to commence Taipai-Saipan service after the U.S.-Taiwan open skies agreement becomes effective. Far Eastern plans to use three Boeing B757-200 aircraft to provide this proposed service.
Counsel: Preston Gates, Jonathan Blank, 202-662-8011
Far Eastern Air Transport Corporation (Foreign Air Carrier Permit, Taiwan-Guam)
OST-97-2768 | July 29, 1997
Application for Foreign Air Carrier
Permit
Far Eastern was founded in 1957 and is a corporation organized under the laws of the Republic of China. Far Eastern is Taiwan's largest domestic carrier, with a 14 jet fleet and over 1,5OO employees. It began serving the Taipei—Kaobsiung route in 1962, added two more routes in 1970, continued to expand and now serves more than ten domestic routes. Far Eastern began international charter operations in 1995, first to Palau and then to Subic Bay, Philippines. Far Eastern continues to grow, expanding both its geographical reach and its customer base. In 1995 Far Eastern carried 5.468 million passengers, almost I million more passengers than it carried in 1994.
Answers are due by August 26, 1997 - Subpart Q
Counsel: Preston Gates, Jonathan Blank, 202-662-8011
Fine Airlines, Inc. (Name Registration and Reissuance of Certificates)
Order 97-7-30 | OST-97-2704 | Issued and Served July 29, 1997
On July 10, 1997, Fine Airlines, Inc. (Fine), a certificated all-cargo air carrier, filed an application to register a change in its name to Fine Air Services, Inc. d/b/a Fine Airlines d/b/a Fine Air and to have the Department reissue its certificates to reflect this name change. Fine plans to change its name by amending its certificate of incorporation on or about July 31, 1997, in connection with a proposed public offering.
Certificate for Interstate Charter | Certificate for Foreign Charter | Certificate for Route 644 | Service List
By: John Coleman
Lineas Aereas del Caribe, S.A. – LAC (Foreign Air Carrier Permit and Exemption Authority)
Order 97-7-28 | OST-95-829 | Issued July 28, 1997 | Served July 29, 1997
The record before us leads us tentatively to find and conclude that LAC is no longer fit to hold Department authority and that revocation of its existing authority will be in the public interest. A carrier's fitness is determined based on its managerial skills and its technical ability to conduct the proposed operations, its access to financial resources, and its compliance disposition.
By: Charles Hunnicutt
NAC Network, Inc. – Northern Air Cargo, Inc.
OST-97-2323 | June 4, 1997 | Received by Docket Section July 28, 1997
Re: Safety and Compliance Evaluation
Accordingly, we know of no reason why the DOT should act unfavorably on this application. Any authority awarded by the DOT should be conditioned upon a finding that: (1) the carrier meets the qualifications of the Federal Aviation Regulations applicable to the type of operation permitted by the DOT; (2) it is able to comply with the operating requirements applicable to that operation; and (3) it has been issued an appropriate FAA operating certificate and/or operations specifications which authorizes the operation.
By: Katherine Hakala
Northern Air Cargo, Inc. (Fitness Review)
OST-97-2323 | May 21, 1997 | Received by Docket Section July 28, 1997
No problems with accuracy of data submitted by the carrier have been reported. A detailed listing of the carrier's available reporting record is attached.
By: Victoria Bradford, Office of Airline Information
Sunworld International Airlines, Inc. (Certificate Renewal)
OST-95-666 and OST-96-667 | July 22, 1997
Re: Sunworld – Letter in Support
As an airline charter management company, we have worked with Sunworld many times over the last year on several ad hoc charter requirements, along with providing lift to fulfill our U.S. Marshals Service contract. Our experience with Sunworld has been absolutely positive in all aspects. We have found them to be a very professional business and our clients have been most pleased with the safe, reliable and on time service they have provided. They pay attention to details, care about their passengers and employees and offer a product that is among the best in the airline charter industry.
By: Charter Services, Allen Weh, 505-344-1906
1997 U.S.-Brazil Combination Service Proceeding / Petition of Delta Air Lines
OST-96-2016 | OST-97-2680 | July 29, 1997
Surreply of Continental
Airlines and Motion for Leave to File
Continental is constrained to respond to Delta's unauthorized reply although Delta has shown no good cause for accepting its outlandish reply or any basis for revoking the Newark-Rio de Janeiro frequencies awarded to Continental because the Department found its Newark-Rio de Janeiro proposal provided far more public benefits than Delta's proposed JFK-Sao Paulo service. The Department should deny Delta's meritless petition immediately so Continental can continue its Newark-Brazil service free of the regulatory cloud created by Delta's interference and the public can enjoy the full benefits of Continental's innovative daylight service from Newark to Rio de Janeiro. Delta's "ludicrous and illegal" petition for modification, suspension or revocation of Continental's Newark-Rio de Janeiro frequencies is truly a case of the pot calling the kettle black. Delta's service proposal in the Brazil case was a moving target.
Counsel: Continental and Crowell Moring, Bruce Keiner, 202-624-2615
U.S.-Czech Republic Third-Country Code-Share Opportunities
OST-97-2686 | July 29, 1997
Neither Northwest nor Delta in their comments objects to the tentative decision, and no other party filed any objection before the due date. In these circumstances, United urges the Department to proceed immediately to issue an order making final the tentative findings and conclusions in Order 97-7-8.
Immediate issuance of such an order is warranted without awaiting the due date for answers (August 1, 1997). This will enable the carriers selected to offer U.S.-Czech Republic thirdcountry code-share services to proceed immediately with plans to implement such services by September 1, 1997, when these services become effective under the U.S./Czech Republic agreement. Expedited action is consistent with the Department's policy of assuring that valuable economic opportunities available under international agreements do not go unused.
Counsel: United and Ginsburg Feldman, 202-637-9130
International Air Transport Association
OST-96-1994 | July 29, 1997
Counsel: IATA
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